§900. "Motor Vehicle Liability Policy" defined
A. A "Motor Vehicle Liability Policy" as said term is used in this Chapter, shall
mean an owner's or an operator's policy of liability insurance, certified as provided in R.S.
32:898 or 899 as proof of financial responsibility, and issued except as otherwise provided
in R.S. 32:899, by an insurance carrier duly authorized to transact business in this state, to
or for the benefit of the person named therein as insured.
B. Such owner's policy of liability insurance:
(1)Shall designate by explicit description or by appropriate reference all motor
vehicles with respect to which coverage is thereby to be granted; and
(2)Shall insure the person named therein and any other person, as insured, using any
such motor vehicle or motor vehicles with the
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§900. "Motor Vehicle Liability Policy" defined
A. A "Motor Vehicle Liability Policy" as said term is used in this Chapter, shall
mean an owner's or an operator's policy of liability insurance, certified as provided in R.S.
32:898 or 899 as proof of financial responsibility, and issued except as otherwise provided
in R.S. 32:899, by an insurance carrier duly authorized to transact business in this state, to
or for the benefit of the person named therein as insured.
B. Such owner's policy of liability insurance:
(1) Shall designate by explicit description or by appropriate reference all motor
vehicles with respect to which coverage is thereby to be granted; and
(2) Shall insure the person named therein and any other person, as insured, using any
such motor vehicle or motor vehicles with the express or implied permission of such named
insured against loss from the liability imposed by law for damages arising out of the
ownership, maintenance, or use of such motor vehicle or motor vehicles within the United
States of America or the Dominion of Canada, subject to limits exclusive of interest and
costs with respect to each such motor vehicle as follows:
(a) Fifteen thousand dollars because of bodily injury to or death of one person in any
one accident, and
(b) Subject to said limit for one person, thirty thousand dollars because of bodily
injury to or death of two or more persons in any one accident, and
(c) Twenty-five thousand dollars because of damage to or destruction of property of
others in any one accident.
(d) An owner may exclude a named person as an insured under a commercial policy
if the owner obtains and maintains in force another policy of motor vehicle insurance which
provides coverage for the person so excluded which is equal to that coverage provided in the
policy for which the person was excluded. The alternative coverage is required for both
primary and excess insurance.
C. Such operator's policy of liability insurance shall insure the person named as
insured therein against loss from the liability imposed upon him by law for damages arising
out of the use by him of any motor vehicle not owned by him, within the same territorial
limits and subject to the same limits of liability as are set forth above with respect to an
owner's policy of liability insurance.
D. Such motor vehicle liability policy shall state the name and address of the named
insured, the coverage afforded by the policy, the premium charged therefor, the policy period
and the limits of liability, and shall contain an agreement or be endorsed that insurance is
provided thereunder in accordance with the coverage defined in this Chapter as respects
bodily injury and death or property damage, or both, and is subject to all the provisions of
this Chapter.
E. Such motor vehicle liability policy need not insure any liability under any worker's
compensation law nor any liability on account of bodily injury to or death of an employee
of the insured while engaged in the employment, other than domestic, of the insured, or while
engaged in the operation, maintenance or repair of any such motor vehicle nor any liability
for damage to property owned by, rented to, in charge of or transported by the insured.
F. Every motor vehicle liability policy shall be subject to the following provisions
which need not be contained therein:
(1) The liability of the insurance carrier with respect to the insurance required by this
Chapter shall become absolute whenever injury or damage covered by said motor vehicle
liability policy occurs; said policy may not be cancelled or annulled as to such liability by an
agreement between the insurance carrier and the insured after the occurrence of the injury or
damage; no statement made by the insured or on his behalf and no violation of said policy
shall defeat or void said policy;
(2) The satisfaction by the insured of a judgment for such injury or damage shall not
be a condition precedent to the right or duty of the insurance carrier to make payment on
account of such injury or damage;
(3) The insurance carrier shall have the right to settle any claim covered by the
policy, and if such settlement is made in good faith, the amount thereof shall be deductible
from the limits of liability specified in Paragraph (B)(2) of this Section:
(4) The policy, the written application therefor, if any, and any rider or endorsement
which does not conflict with the provisions of the Chapter shall constitute the entire contract
between the parties.
G. Any policy which grants the coverage required for a motor vehicle liability policy
may also grant any lawful coverage in excess of or in addition to the coverage specified for
a motor vehicle liability policy and such excess or additional coverage shall not be subject
to the provisions of this Chapter. With respect to a policy which grants such excess or
additional coverage the term "motor vehicle liability policy" shall apply only to that part of
the coverage which is required by this Section.
H. Any motor vehicle liability policy may provide that the insured shall reimburse
the insurance carrier for any payment the insurance carrier would not have been obligated to
make under the terms of the policy except for the provisions of this Chapter.
I. Any motor vehicle liability policy may provide for the prorating of the insurance
thereunder with other valid and collectible insurance.
J. The requirements for a motor vehicle liability policy may be fulfilled by the
policies of one or more insurance carriers which policies together meet such requirements.
K. Any binder issued pending the issuance of a motor vehicle liability policy shall
be deemed to fulfill the requirements for such a policy.
L.(1) Notwithstanding the provisions of Paragraph (B)(2) of this Section, an insurer
and an insured may by written agreement exclude from coverage the named insured and the
spouse of the named insured. The insurer and an insured may also exclude from coverage
any other named person who is a resident of the same household as the named insured at
the time that the written agreement is entered into, and the exclusion shall be effective,
regardless of whether the excluded person continues to remain a resident of the same
household subsequent to the execution of the written agreement. It shall not be necessary for
the person being excluded from coverage to execute or be a party to the written agreement.
For the purposes of this Subsection, the term "named insured" means the applicant for the
policy of insurance issued by the insurer.
(2) The form signed by the insured or his legal representative which excludes a
named person from coverage shall remain valid for the life of the policy and shall not require
the completion of a new driver exclusion form when a renewal, reinstatement, substitute, or
amended policy is issued to the same named insured by the same insurer or any of its
affiliates. Any changes to an existing policy, including but not limited to the addition of
vehicles or insured drivers to said policy, regardless of whether these changes create new
coverage, do not create a new policy and do not require the completion of a new agreement
excluding a named person from coverage. For the purpose of this Subsection, a new policy
shall mean an original contract of insurance which an insured enters into through the
completion of an application on the form required by the insurer.
M.(1) Except for those tow trucks carrying liability coverage under the provisions
of R.S. 32:1717, for those motor vehicles owned or operated by persons engaged in the
business of actual farming and used primarily, but not exclusively, in carrying farm produce
from farm to market or returning therefrom carrying goods and merchandise back to the
farms, individually or cooperatively, where such carrying is not primarily for hire, or for
motor vehicles being used for the transportation of forest products in their natural state, every
motor carrier as defined in R.S. 32:1 shall be covered by a liability policy. Public liability
and property damage insurance on motor carriers operating a vehicle that has a gross vehicle
weight or gross combined weight rating in excess of twenty thousand pounds shall have the
following liability limits:
(a) Those vehicles with a gross vehicle weight of more than twenty thousand pounds,
but not more than fifty thousand pounds shall have:
(i) Twenty-five thousand dollars because of bodily injury or death of one person in
any one accident, and
(ii) Subject to said limit for one person, fifty thousand dollars because of bodily
injury to or death of two or more persons in any one accident, and
(iii) Twenty-five thousand dollars because of damage to or destruction of property
of others in any one accident.
(b) Those vehicles with a gross vehicle weight of more than fifty thousand pounds
shall provide a combined minimum single coverage limit of three hundred thousand dollars
or the equivalent coverage of one hundred thousand dollars for injury or death to any one
person, with a required minimum of not less than three hundred thousand dollars per
occurrence, and twenty-five thousand dollars property damage.
(2) If, however, the motor carrier has qualified with the United States Department
of Transportation (Interstate Commerce Commission) as a self-insurer, as authorized by 49
U.S.C. 10927, or has qualified for self-insurance under the provisions of R.S. 32:1042, the
carrier shall be authorized as a self-insurer in Louisiana.
(3) The department may impose a fee not to exceed one dollar per vehicle to cover
the expenses resulting from the administration of the provisions of this Subsection.
(4) In addition, all security providers for motor carriers, beginning June 15, 1995,
shall notify the secretary, on a form required by the secretary, within forty-five calendar days
from the date when any policy, bond, deposit, or other item of security is terminated,
withdrawn, canceled, lapsed, or otherwise made ineffective.